• Language
  • App
  • Subscriptions
  • Specials
  • Sign-In
  • Register
GeStepAhead Realasset Realasset
moneycontrol.com

Home » News » Recommendations

Apr 11, 2012, 06.23 PM | Source: Moneycontrol.com

Buy Pitti Laminations; target of Rs 105: Sunidhi Securities

Sunidhi Securities is bullish on Pitti Laminations and has recommended buy rating on the stock with a target of Rs 105 in its April 11, 2012 research report.

Like this story, share it with millions of investors on M3

Buy Pitti Laminations; target of Rs 105: Sunidhi Securities

Sunidhi Securities is bullish on Pitti Laminations and has recommended buy rating on the stock with a target of Rs 105 in its April 11, 2012 research report.

Post Your Comments

Share Cancel

(more)

, Sunidhi Securities |

Sunidhi Securities is bullish on Pitti Laminations and has recommended buy rating on the stock with a target of Rs 105 in its April 11, 2012 research report.

"Incorporated in 1987, PLL is engaged in the manufacture of quality laminations and is one stop solution provider for critical sectors. It has blue chip clients in the list and the demand for its products is improving day after day as the user industries are on expansion mode. PLL's plants are located in Hyderabad, Andhra Pradesh, India and its factories are located in a 50 km radius of the city. PLL holds the coveted ISO 9002 certification by BVQI of U.K. The electrical laminations installed capacity is 25,000 tpa for the use in the rotating electrical machinery such as industrial motors, aeronautic wing control motors etc."

"During FY11, sales advanced by 68.5% to Rs255.6 crore and net profit by 2816% to Rs8.5 crore. OP and NP margin stood at 12.3% and 3.3%. EPS for FY11 stood at Rs9.0.  The DER as at FY11 stood at 1.4:1 whereas the value of the gross block at Rs100.0 crore.  During Q3FY12, sales rose 49.0% to Rs108.0 crore and net profit by 134.0% to Rs6.1 crore. (YoY). OPM and NPM stood at 15.0% and 5.7% compared to 11.9% and 3.6% respectively in Q3FY11. EPS for Q3FY12 stands at Rs5.7."

"PLL makes electrical laminations which are used in defence, power projects, and aerospace. Its products are in huge demand and most of the products are exported.  The fact that PPL offers wide range of products and provides "one stop solutions" and prompt deliveries to the critical sectors of the economy places it in an advantageous position and offers opportunities to move up the value chain in the years to come.  The ongoing expansion and backward integration give strong visibility to sales & profitability going forward.  At the CMP of Rs81, the share is trading at a P/E of 5x on FY12E and 3.8x on FY13E. We recommend BUY with a target price of Rs105 in the medium term," says Sunidhi Securities research report.  

Public holding more than 90% in Indian cos

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

To read the full report click here

Ads by Google

Buy, Hold, Sell ? Hear it first on M3
Buy Pitti Laminations; target of Rs 105: Sunidhi Securities

See all

Get started using your favorite social network

or

Login using moneycontrol ID

Username
Password

Need help logging in? Reset password.

Don´t have an account? Sign Up

Get started using your favorite social network

or

Simply sign up using this short form

* mandatory

UserName*

Username should be atleast 4 character

Password*

Password should be 8 or more characters,
atleast 1 number, 1 symbol & 1 upper case letter

Alert

Your Password should contain
  • 8 or more characters
  • At least 1 number
  • At least 1 symbol
  • At least 1 upper case letter
Confirm Password*
Email
Already have an account? Login